Changes in industry structure and competition: the use of strategic alliances by UK defence manufacturing firms

Abstract

᭹ This paper outlines the changes which have occurred in the business environment for UK defence manufacturers over the last 10 years. It highlights how the opening up of the UK market to foreign competition has compelled UK firms to become more aggressive on the export market. ᭹ UK firms have responded by increasing their use of cross-border strategic alliances as a means of accessing emerging markets as well as acquiring technology and sharing costs with firms from the USA and Europe.᭹ Specifically the paper analyses and discusses the drivers of change and restructuring within the industry; the characteristics of UK firms using cross-border strategic alliances; the characteristics of alliance structures and partners; the motives for forming alliances and the relationship between the buyer and suppliers.

The system dynamic modeling and simulation of effect factors on civil-military integration mechanism in defense industry

“…And the specialized division is correlative to configuration of defense industry. The configuration of defense enterprise that has adapted to market competition has been explored by the USA and the UK [2].…”

Cross‐border strategic alliances: co‐operation between firms from the United Arab Emirates and international partners

“…Trust and confi dence in the integrity of fi rms in the Middle East is essential to the success of cross-border strategic alliances and the types of structure chosen between partners (Butler, 2005). Firms need to be confi dent that their technology will not be passed on to unauthorized third parties and that partners will not operate outside the terms of the original agreement.…”

“…A major source of frustration for UK executives is a local culture of 'saving face' (instead of getting to the crux of a problem), as well as diffi culties with interpretation -especially with technical specifi cations (Butler, 2005).…”

“…The stereotypical perception of meetings lasting three hours in the Arab world and one hour in the Western world is not uncommon. The perception exists in UK industry, for example, that the Arab business community does business with friends fi rst whereas Western fi rms do business fi rst and then become friends (Butler, 2005).…”

“…Forming strategic alliances with foreign partners can be conducted with directness or it can cause frustration, with local cultures prevailing in order to 'save face'. A major source of frustration for UK executives is a local culture of 'saving face' (instead of getting to the crux of a problem), as well as diffi culties with interpretation -especially with technical specifi cations (Butler, 2005).…”